FYI. If you're wondering if your money should be in a fixed interest deposit at eg 5% pa,6 month terms, or invested in shares,eg GRY,the term deposit would return
10.38% in two years and the GRY SP whould have to rise to $0.748 to just match this.
The table/plots below show some way points for how the GRY SP has to increase to just match the 5% pa term deposit (blue), and how the GRY SP has to rise to reach the lowest Broker target $1.25(orange) and the highest Broker target $2.30(green)from the GRY recent presentation, assuming the target date to be June 2014.
Date,req GRY SP>5%TI,Br1 Pred,Br7 Pred,TI total $
Jun-12 0.68 0.68 0.68 100000
Dec-12 0.70 0.82 1.09 102500
Jun-13 0.71 0.97 1.49 105062
Dec-13 0.73 1.11 1.90 107689
Jun-14 0.75 1.25 2.30 110381
Plots of same info.
eg in Dec this year GRY SP has to be at least $0.70 to equal the term depost return. In Jun 2014 it has to be $0.748.
I think I will stay with GRY.
(Posting trivia like this shows how boring the market is at the moment)
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